Which statement is false?

A. The U.S. Constitution says that Congress holds the power to regulate trade, so the states are not allowed to tax interstate and foreign commerce (according to the Supreme Court).
B. States are allowed to tax the federal government, according to the Supreme Court ruling in McCullough v. Maryland, 1819.
C. Most states allow nonprofit groups like churches, private schools, and museums to be tax-exempt (not pay taxes).
D. Since local governments, such as city councils, are under the authority of the state government, their powers to tax extend only to those areas determined by the state.